Below how cryptocurrencies have evolved in recent years will be explained, as well as what to expect from the UK cryptocurrency industry throughout 2024 and beyond.
When it comes to cryptocurrencies, there is no doubt that the idea and implementation of these types of technologies have come a long way in recent years. Not long ago, almost everything related to cryptocurrencies was considered a niche topic, and only the most technologically minded people seemed to care about them.
However, cryptocurrencies enter the mainstream at an astonishing rate, and most people around the world have at least heard of them. This is still in the early stages of the road to mass adoption of cryptocurrencies, and is perhaps one of the most exciting things because it seems like new and exciting growth in the industry has emerged almost daily.
How Cryptocurrencies Have Evolved in Recent Years
Today, the adoption of cryptocurrencies in general society has become a reality, and companies like decentralized finance (DeFi) and non-fungible tokens (NFT) are gaining a place in domestic discussions. As such, this is an era where the idea of decentralized applications and digital art is a reality, and the UK is full of people who want to get involved.
However, it hasn’t all been fun and games due to concerns. Market stability and security issues, as well as regulatory scrutiny, have presented an ever-present challenge to the industry’s growth.
What to Expect from the UK Crypto Industry in 2024
There is a feeling of entering the unknown when it comes to cryptocurrencies, as governments around the world find it difficult to come up with an agreed approach to their use in the daily lives of citizens. citizens.
The following is a small list of areas that are expected to see changes in the UK crypto industry throughout 2024:
Market conditions. When it comes to cryptocurrencies, market conditions are always difficult to predict because they are often incredibly influenced by economic conditions. Over the past year, there have been many geopolitical events with the potential to continue influencing cryptocurrency markets throughout 2024.
Factors such as changes in interest rates can also impact cryptocurrency markets, but this could work at favor of investors. who are interested in alternative assets. Of course, the volatility of cryptocurrency markets can be extreme, so it’s always worth doing research before making investment decisions.
Response to Criminal Activities. The UK is known for cracking down on criminal activities and the crypto industry has experienced some issues in this regard. The implementation of anti-money laundering and anti-terrorist financing measures by the Financial Conduct Authority is a great example of positive steps being taken.
In 2024, more responses to criminal activity can be expected, and a great example of how this could happen includes increased Know Your Customer requirements, with penalties for companies that do not follow suit.
Government Regulation. There is no doubt that the UK government will play an important role in regulating cryptocurrencies in the coming years. In fact, the Financial Conduct Authority has categorized cryptocurrency assets and will therefore apply guidelines to companies that interact with the sector.
In this regard, the UK government is expected to continue to align its regulations with international standards, which will mean introducing and maintaining strict laws on things like misleading cryptocurrency promotions, as well as regulations that aim to protect consumers. and at the same time allow innovation to take place in the industry.
By Audy Castaneda
